New agreements target investment, clean energy and critical mineral supply chains
Canada and Australia are stepping up economic cooperation with a series of new agreements designed to expand investment, strengthen supply chains for critical minerals and accelerate clean energy development.
During a visit to Canberra, Canadian Prime Minister Mark Carney and Australian Prime Minister Anthony Albanese unveiled a broad framework for collaboration spanning mining, investment, artificial intelligence, defence and energy. The joint commitments aim to bolster economic resilience and unlock new bilateral investment opportunities between two resource-rich economies.
The partnership places a major emphasis on critical minerals — a sector increasingly viewed as vital to global supply chains supporting advanced technologies, batteries and defence systems. Both countries are significant producers of these materials and intend to deepen cooperation to strengthen market access, investment and supply chain security.
Canada also welcomed Australia into the G7 Critical Minerals Production Alliance, an initiative launched under Canada’s G7 presidency aimed at boosting production capacity and diversifying global supply networks from mine to market. The move is expected to accelerate collaboration between the two countries’ mining sectors and drive capital toward large-scale mineral development projects.
The leaders also agreed to strengthen cooperation between Australia’s Critical Minerals Strategic Reserve and Canada’s Critical Minerals Sovereign Fund, creating new pathways for joint investment and supply chain resilience.
Financial ties were another focal point of the visit. Both governments committed to modernizing the Canada–Australia tax treaty to encourage increased cross-border investment and facilitate joint financing of infrastructure and nation-building projects. The two sides also welcomed a memorandum of understanding between major pension and superannuation funds to deepen collaboration between institutional investors in both countries.
The agreement also launches a new Canada-Australia Clean Energy Partnership, intended to scale up clean energy technologies, modernize electricity grids and expand trade and investment in the energy transition. Leaders said the initiative would help generate jobs and economic growth while supporting progress toward net-zero emissions.
Beyond energy and resources, Ottawa and Canberra committed to enhancing collaboration in artificial intelligence through a new memorandum of understanding linking the two countries’ AI safety institutes. The effort is expected to boost talent exchanges, research and commercial partnerships in emerging technologies.
Officials will also establish regular ministerial discussions between finance, industry and economic portfolios to identify further opportunities to strengthen economic security and expand trade.
The new initiatives come as Canada looks to diversify its global partnerships and strengthen supply chains for key industrial inputs.
The Indo-Pacific region, where Australia plays a central economic role, accounts for more than a third of global GDP and is the fastest-growing economic region in the world. Strengthening Canada’s presence there is expected to support new trade and investment opportunities for Canadian companies.
